Shares of social trading and investing platform eToro (Nasdaq: ETOR) rose on Monday after the company reported a 76% year-over-year increase in assets under administration to $20.8 billion in the third quarter.
The company also posted a 28% increase in net contribution to $215 million, up from $167 million the previous year, alongside the launch of a $150 million share repurchase program.
Net income under Generally Accepted Accounting Principles (GAAP) rose 48% to $57 million from $39 million in the same quarter last year, while funded accounts expanded 16% to 3.73 million, supported by the integration of Australia’s Spaceship app acquired in 2024.
The company’s shares soared about 7% on Monday during the intraday session on the Nasdaq.
In October, eToro users executed 5 million cryptocurrency trades, representing an 84% increase from the same period a year earlier. The average invested amount per trade rose 52% to $320, while interest-earning assets reached $8.7 billion, up 55% year over year.
The company said its crypto wallet, which will give users access to prediction markets, tokenization and lending products, is expected to launch within the next few quarters.
Co-founder and CEO Yoni Assia said the company is focusing on product development and innovation, citing initiatives tied to AI and copy trading. The company launched Tori over the past quarter, an AI-powered analyst that delivers personalized investment insights.
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eToro returns to crypto
In September 2024, eToro suspended trading for most cryptocurrencies in the US following a settlement with the Securities and Exchange Commission. The company agreed to pay $1.5 million to resolve allegations that it operated an unregistered brokerage and clearing agency through its crypto platform.
Since then, the US government has shifted its stance on digital assets, with US President Donald Trump pledging to make the country a global hub for crypto and AI innovation. SEC Chair Paul Atkins said in September that “most crypto tokens are not securities.”
In July, eToro revealed plans to tokenize 100 of the most popular US-listed stocks and exchange-traded funds (ETFs) as ERC-20 tokens on Ethereum, enabling 24/5 trading onchain.
The move came shortly after trading and investing platform Robinhood announced a layer-2 network built on Arbitrum to tokenize US stocks, giving European investors 24/5 access to more than 200 tokenized equities and ETFs.
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